Chapter 3—Electronic Business (E-Business) Systems Key
1. E-Business is the application of electronic networks (including the Internet) to exchange information and link
business processes among organizations and individuals.
3. Adding, deleting, or replacing standing data is called transaction processing.
4. Master data are repositories of relatively permanent data maintained over an extended period of time.
5. Data maintenance refers to the recording of business event data and transactions.
6. Information processing includes data processing functions related to accounting events, internal operations
and financial statement preparation.
7. Immediate mode is the data processing mode in which there is delay between data processing steps.
8. Processes that include distribution, manufacturing, and accounting operations are front office processes.
9. Periodic mode is the data processing mode in which there can be a delay between data processing steps.
10. Batch processing is the aggregation of several business events over some period of time with the subsequent
processing of these data as a group by the information system.
11. A device that is not directly connected to the central computer or network is referred to as an online device.
12. In an online transaction entry (OLTE) system, use of data entry devices allows business event data to be
entered directly into the information system at the time and place that the business event occurs.
13. A computer configuration in which certain equipment is directly connected to the computer is said to be
online.
14. Online real-time (OLRT) systems gather business event data at the time of occurrence, update the master
data essentially instantaneously, and provide the results arising from the business event within a very short
amount of time.
15. Batch mode is the data processing mode in which there is little or no delay between any two data processing
steps.
16. Client/server technology is the physical and logical division between user-oriented application programs
17. Value-added networks (VANs) are communication networks that link together several different local user
machines with printers, databases, and other shared devices.
18. Local area networks (LANs) are communication networks that link up distributed users and local networks
into an integrated communication network.
19. The Internet is a massive interconnection of computer networks worldwide that enables communication
between dissimilar technology platforms.
20. Web browsers are software programs designed specifically to allow users to view the various documents
and data sources available on the Internet.
21. Cloud computing is the use of the Internet to provide scalable services, such as software, and resources,
such as data storage, to users.
22. SPAM is unsolicited unwanted mail.
23. A type of intranet, which has been extended to limited external access, is referred to as an extranet.
24. E-mail is the electronic transmission of nonstandardized messages between two individuals who are linked
via a communications network.
25. Electronic data interchange (EDI) is the capture, storage, management, and control of electronic document
images for the purpose of supporting management decision making and facilitating business event processing.
26. Electronic document management (EDM) is the computer-to-computer exchange of business data in
structured formats that allow direct processing of those electronic documents by the receiving computer
system.
27. Value-added network (VAN) service acts as the EDI “post office.”
28. Internet commerce is computer-to-computer exchange of business event data in structured or semi-
structured formats via Internet communication that allows the initiation and consummation of business events.
29. The benefits of electronic document management (EDM) include improved staff productivity, reduced cost
of handling and storing paper and faster processing.
30. Applications such as ANSI (X12) and EDIFACT are referred to as transaction software.
31. Network providers are companies that provide a link into the Internet by making their directly connected
networks available for access by fee-paying customers.
32. Internet assurance is a service provided for a fee to vendors in order to provide absolute assurance to users
of the vendor’s web site that the site is in fact reliable and event data security is reasonable.
34. Electronic store fronts are Internet-located resources for displaying goods and services for sale and for
conducting related sales transactions.
35. Extranet auction markets provide an Internet base for companies to place products up for bid or for buyers
to put proposed purchases up for bid.
36. Internet market exchanges enable suppliers to put their products online, by feeding into electronic catalogs
that sort through alternatives from different suppliers and electronically place an order.
37. Back-office functions include:
A. customer interface
38. A by-product of e-business is
39. Purchasing function benefits from e-business include
40. The vast majority of e-business volume is
41. By selling tickets over the Internet, airlines have
A. enhanced customer service
42. Suggesting items to Internet customers based on their buying patterns
43. Vendor online catalogs can be viewed by customers through a(n):
44. According to the text, these represent the “book of original entry”
45. These are repositories of relatively permanent data maintained over an extended period of time
46. These are relatively permanent portions of master data
A. business event data
47. This includes functions related to accounting events, internal operations and financial statement preparation
48. The processing mode in which there is a delay between the various data processing steps is referred to as:
49. In batch processing, business event data are collected and processed
50. A disadvantage of the periodic mode is:
A. completeness
51. The correct sequence of subprocesses for the batch processing of accounting data is
52. A disadvantage of periodic mode systems is
53. In a(n) ____ system, use of data entry devices allows business event data to be entered directly into the
information system at the time and place the business event occurs
54. An online transaction entry (OLTE) system merges the traditional subprocesses of:
55. Systems that gather business event data at the time of occurrence, update the master data essentially
instantaneously, and provide the results arising from the business event within a very short amount of time are
referred to as:
56. The processing mode in which there is no or little delay between any two data processing steps is referred to
as:
57. A system that supports constantly up-to-date reporting of data is
58. Electronic document management (EDM) systems are capable of performing all of the following except:
A. capture of data
59. There are two categories of electronic document management (EDM) systems:
60. The technology that is the physical and logical division between user-oriented application programs that are
run at the client level and the shared data that must be available through a separate computer (server) that
handles centrally shared activities is:
61. ____ is (are) communication networks that link several different local user machines with printers,
databases, and other shared devices.
62. Benefits of electronic data management (EDM) include all of the following except
A. reduced cost of handling and storing paper
63. Which of the following is not a cost of EDI?
64. Electronic document management (EDM) includes all of the following except:
A. capturing document images
65. The benefits of electronic document management (EDM) include all of the following except:
66. Which of the following is not a benefit of electronic data interchange (EDI)?
A. enables continued business with certain business partners
67. Which of the following is not a cost of electronic data interchange (EDI)?
68. Which of the following are the two primary categories of e-business over the web?
A. Client and server relationships
69. To implement a secure EDI system between two or more companies, they might use a(n):
A. online transaction entry (OLTE)
70. In EDI, the software that includes the purchasing system at the origin and the order entry system at the
destination is known as
A. translation software
71. The fastest-growing segment of commerce-business is:
A. electronic mail (e-mail)
72. Which of the following is not a benefit of Internet commerce?
73. The risks of Internet commerce include all of the following except:
74. WebTrust is a(n):
75. Which of the following Internet applications would not be categorized as a customer relationship
management (CRM) system?
76. Cloud computing uses the Internet to provide services such as:
A. electronic mail (e-mail)
77. Web Services includes the following technologies;